Rising Property Taxes
Date Published
Homeowners across the country are feeling the pinch as rising property taxes become a bigger part of the monthly budget. According to a recent LendingTree report, median property taxes in the U.S. jumped by an average of 10.4% from 2021 to 2023. That means the typical homeowner now pays almost $3,000 a year-an increase that can’t be ignored.
Why are rising property taxes such an issue? The answer is twofold: home values soared during the post-pandemic boom, and many local governments raised tax rates to meet budget needs. Since property taxes are based on your home’s assessed value, higher prices mean higher bills. On top of that, local tax hikes have compounded the effect for homeowners.
Where Taxes Are Rising Fastest
Some metro areas have been hit especially hard. Here are the top ten cities with the highest property tax increases from 2021 to 2023:
- Tampa, FL: Up 23.3%, with a median annual bill of $2,385.
- Indianapolis, IN: Rose 19.8%, now $2,029 per year.
- Dallas, TX: Jumped 19% to $5,589 annually.
- Jacksonville, FL: Increased 18.7%, now $2,401 per year.
- Atlanta, GA: Up 18.6%, with a median of $2,738.
- Miami, FL: Also up 18.6%, now $3,570 per year.
- Seattle, WA: Rose 18.4%, now $5,832 annually.
- San Antonio, TX: Up 18.2%, with a median of $4,331.
- San Diego, CA: Increased 18%, now $5,542 annually.
- Charlotte, NC: Rose 17.6%, now $2,205 per year.
What’s Fueling the Increases?
- Soaring Home Values: As home prices increased, so did assessed values.
- Higher Tax Rates: Many local governments raised rates to fund schools and services.
- Lagging Assessments: Even if home prices dip, tax assessments may not adjust quickly.
Can You Lower Your Tax Bill?
Nearly half of Americans could be overpaying on property taxes. Here’s what you can do:
- Check Your Assessment: Make sure your home’s assessed value is accurate.
- Appeal If Needed: If you think your property is overvalued, protest the assessment.
- Use Online Tools: New assessment tools from real estate sites can help you determine if you’re eligible for a reduction.
Why Property Taxes Matter
Remember, property taxes fund essential local services like schools, police, and fire departments. While rising property taxes can be frustrating, they support your community’s quality of life. Still, it’s smart to make sure you’re not paying more than your fair share.
Conclusion:
Staying informed about property tax trends is crucial for every homeowner. If you’re concerned about how rising property taxes might affect your next move, the Onward Real Estate Team is ready to help. Their local expertise and personalized guidance can help you navigate the market and make the best decisions for your future.
References
Property Taxes Rise in Every U.S. Metro: 10 Markets Hit the Hardest – Realtor.com